FHA Programs for Oregon Seniors
There are many good reasons why to obtain a FHA Reverse Mortgage, and Reverse Mortgage is just one of several options you might consider.
An experienced Reverse Mortgage Specialist should take the time to ask you the right questions and truly understand your goals and situation.
Reverse Mortgage Information
For those under 62 years of age, there are only two main ways to get cash from your home. They can move or borrow against thier home and make monthly loan repayments.
Senior homeowners have a third way of getting money from their home that does not require you to leave it or to make regular loan repayments with the Reverse Mortgage.
REVERSE MORTGAGES in Oregon
A “reverse” mortgage is a loan against your home that you do not have to pay back for as long as you live in your home. In Oregon with a reverse mortgage, a senior can turn the value of your home into cash without having to move or to make loan payments each month. The cash obtained from a reverse mortgage can be paid to a senior in several ways:
- single lump sum of cash
- as a regular monthly cash advance
- in a creditline account that lets you decide when and how much of your available cash is paid to you
- any combination of these payment methods.
No matter how this loan is paid out, the senior typically does’t have to pay anything back until they die, sell the home, or permanently move out of the home. To be eligible for most reverse mortgages, you must own your home and be 62 years of age or older.
OTHER HOME LOANS available to Seniors in Oregon
To qualify for most loans, the lender checks your income to see how much you can afford to pay back every month. With a reverse mortgage, you don’t have to make monthly repayments. So there is no income requirement to qualify for a reverse mortgage. A senior with no income might still be able to get a reverse mortgage.
With most home loan programs, failure to make your monthly repayments could result in losing your home. With a reverse mortgage, you there are no monthly repayments to make, and you can’t lose your home by failing to make them.
Reverse mortgages typically require no repayment for as long as the senior lives in thier home.
Common Misconceptions about Reverse Mortgage
Misconception#1
When a revese mortgage comes due the bank sells the home.
Not True.
When the loan must be repaid, you or your heirs can either pay the balance due on the reverse mortgage and keep the home, or they may sell the home and use the proceeds to pay off the reverse mortgage.
Misconception#2
Reverse Mortgages Are Only For Desperate Seniors, or for the "House Rich, Cash Poor."
Not True.
The reverse mortgage is an excellent financial planning tool that has been used by oregon homeowners from all walks of life to enhance their retirement years. While some have needed the cash from a reverse mortgage much more than others, the growing popularity of this program is evidence of its benefit in a wide range of financial circumstances.
Misconception#3
Your Home Must Be Debt Free To Qualify for a Reverse Mortgage
Not True.
Even seniors with outstanding first mortgage, or other liens on their home may qualify for a reverse mortgage. The proceeds of the reverse mortgage, though, must first be used to pay off such liens.
Misconception#4
The Bank Owns your Home After You Get A Reverse Mortgage
Not True
You own your home and retain title throughout the life of the reverse mortgage. Once you permanently move out, or pass it to your estate, the loan must be repaid.